Census Bureau: Vacant Homes at 2.1 Million

The Census Bureau released a report today that 2.1 million homes were vacant at the end of 2006, representing 2.7% of all owned units. That is the highest vacancy rate in over 50 years.

2006 will not be remembered the year of the bust, as the median home price came in well above $150,000 for the first time ever.

Rental prices also had a record year, topping $700 per month on average across the United States for the first time ever in the fourth quarter.

The report is further evidence that the housing bubble has not yet reached its trough, as supply is clearly outstripping demand. It is highly likely that this kind of vacancy rate will lead to fewer housing starts and lower bottom lines for homebuilders nationwide, as a buyers market opens regionally.